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4. The cost sheet of a company provides the following particulars.Elements of CostAmount per unitRaw Labour50Direct Labour20Overheads10Total cost80Profit20Selling price100The following particulars are available :Raw material in stock, on averageone month(ii) materials in process, on averageone month(iii) Finished goods in stock, on averageone month(iv) Credit allowed to debtors isone month(v) Credit allowed to debtors isone month(vi) Lag in payment of wages istwo weeksOne fourth of the output is sold against cash. Cash in hand and banks areexpected to be * 20,000. Prepare a statement showing the working capitalneeded to finance a level of activity of 1,30,000 units of production per annum.Assume that year consists of 52 weeks and a month consists of 4 weeks.​

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